H.R. 881 would prohibit the Department of Homeland Security (DHS) from providing funds to any higher education institution that hosts Confucius Institutes, which are nonprofit cultural and educational centers funded by the Chinese government. That prohibition also would apply to institutions that have financial relationships with Chinese universities or colleges that meet other criteria such as receiving funding from or providing support to elements of the Chinese Communist Party. H.R. 881 also would require DHS to report to the Congress on the number of education institutions that maintain relationships with Chinese entities of concern and receive funds from the department.
The requirements of H.R. 881 would not change the total amount of funding DHS provides to higher education institutions. CBO expects that the department would update its contracting and federal assistance procedures to ensure that it complies with H.R. 881. CBO estimates that those administrative and reporting efforts would cost less than $500,000. Any spending would be subject to the availability of appropriated funds.
The CBO staff contact for this estimate is Aldo Prosperi. The estimate was reviewed by Christina Hawley Anthony, Deputy Director of Budget Analysis.
